The Hindu : HPCL scales down Bhatinda refinery capacity

Online edition of India's National Newspaper
Thursday, May 22, 2003

Business

Business

HPCL scales down Bhatinda refinery capacity

NEW DELHI MAY 21. Privatisation-bound Hindustan Petroleum Corporation Ltd (HPCL) has scaled down capacity of its grassroot refinery at Bhatinda from nine to six million tonnes to ensure its viability.

``We would be setting up a six million tonne refinery at Bhatinda in the first phase by December 2006,'' HPCL Chairman and Managing Director, M. B. Lal told PTI here.

Construction on Bhatinda refinery, which was approved in November 1998 at an estimated cost of Rs. 9,806 crores, has not taken off due to slowdown in demand for petroleum products.

Mr. Lal said the six million tonne refinery, which would take 42 months from the date the construction begins, would be upgradable to nine million tonnes at a future date.

``The capacity is being scaled down recognising the present slowdown in growth rate of petroleum products,'' he said.

Mr. Lal said HPCL would raise its refining capacity to 14.5 million tonnes from 13 million tonnes through de-bottlenecking.

It has a 5.5 million tonne refinery in Mumbai and a 7.5 million tonne refinery in Vizag.

The capacity of the Mumbai refinery would be upgraded to 1.20 lakh barrels a day (six million tonnes per annum) while that of Vizag refinery to 1.70 lakh barrels a day (8.5 million tonnes per annum).

PTI

Printer friendly page
Send this article to Friends by E-Mail

Business